Over the past decade, the world has seen a significant rise in the number of women entrepreneurs, adding value and money to businesses worldwide. In India, as per a report published by the Confederation of Indian Industry (CII), almost half of these upcoming business leaders plan their finances independently without any help from the family. This has been a result of rigorous empowerment activities and women-centric finance schemes being run by the government.
Here we have discussed the leading loan schemes meant for women entrepreneurs:
Launched under the Pradhan Mantri Mudra Yojana (PMMY), the MUDRA scheme is offered by most banks & NBFCs to individuals who are planning to start up or expand their businesses. Under this scheme, banks offer loans to women without the need for collateral and at a concessional rate of interest. Depending on the loan amount, the scheme is offered in three different categories namely Shishu, Kishor, and Tarun.
When it comes to the lowest rate of interest on business loans for women entrepreneurs, the Central Bank of India offers the Kalyani scheme at just 7.4% per annum. With the help of this, small business owners can upgrade their existing setup and enhance their day-to-day operations. Loans for women are free of any processing charge and the maximum amount offered is Rs 1 crore, which is the maximum amongst its peers.
Stree Shakti Scheme
This scheme is designed for women entrepreneurs who do not hold the entire business in their name and often face difficulties in getting their loans sanctioned. The State bank offers loans under the Stree Shakti scheme to women engaged in agricultural and retail activities. The loan amount ranges from Rs. 50,000 to 20 lacs, at a rate 0.50% lower than the existing base rate.
One of the most widely accepted schemes amongst young women entrepreneurs, as it is the only scheme that offers a free credit card to the loan applicant. It provides extra ease of access to the borrower as they can transact more freely and frequently. The maximum loan amount offered under this scheme is Rs 10 lacs for a period of 1 to 5 years.
To apply for a subsidized loan under any of the schemes mentioned above, you can visit the ‘Apply for a loan’ section on our website. We provide the best-in-class loan disbursal facility with overall support and advisory throughout your journey.